Food Processing

Former FDA associate commissioner returns from a Shanghai conference with new respect for the changes going on.

In June I had a unique opportunity to attend and speak at a Global Food Safety Summit in Shanghai, China. One of the speakers was the associate commissioner at the Shanghai equivalent of our FDA, and some of the comments he made struck a chord with me.
The food safety laws in China have now been updated for the fourth time. The first laws in their current iterations were published in 1982, and then revised in 1996, 2009 and, most recently, just several weeks ago. The current version of the law will become a requirement on Oct. 1 this year.
I won’t go into details other than to say China is getting really serious about food safety. They have increased the number of items, or sections, in this new food safety law from 104 in the last…

As the trade landscape continues to evolve, food processing companies that import and export goods to and from Canada will encounter important changes. Developments in the mandatory country of origin labeling (COOL) and proposed revisions to Canada’s nutritional labeling regulations will likely change the way importers, exporters and customs brokers conduct business.
Country of origin labeling
While the dispute over COOL has been a long-running process, recent developments indicate that U.S. businesses could feel the effects of Canada’s retaliation against COOL as early as September, if the U.S. does not repeal it.
On June 10, the U.S. House of Representatives voted to repeal COOL requirements for beef, pork and chicken, urging the…

A reader wonders which way is more hygienic for applying conveyor lubricant: brush or nozzle?

Q: Which is a more hygienic method of applying conveyor lubricant: by brush or by nozzle?
A. While I am unaware of any specific guidelines from FDA, USDA or the American Meat Institute regarding the application of conveyor lubricants, application via a controlled spray nozzle is much preferable over brush application. A spray nozzle with a properly sized, pre-orifice filter will ensure that only the lubricant will be deposited on the conveyor. Attention should be given to the proper alignment of the nozzle to ensure the spray hits the center on the conveyor and does not over-spray onto the floor, where it can create a safety hazard.
A brush’s materials of construction are susceptible to picking up, harboring and distributing foreign…

The first turkey farms ravaged by the recent bird flu is approaching time to restock, though most of the farms affected are weeks away from introducing new flocks.

One of the first turkey farms in Iowa where bird flu was discovered is quickly approaching the time at which the birds can be restocked, though most of the 77 farms affected are still weeks away from introducing new flocks, says the Iowa Department of Agriculture. Iowa is the country's leading egg producer.
The bird flu outbreak, which began in mid-April, killed 31.5 million chickens and turkeys in the state. An update by officials on the recovery progress indicates that all farms have been cleared of birds. Disposal of manure, compost and other waste continued at 18 farms.
The last reported case of bird flu was four weeks ago. All birds that died or were euthanized have been incinerated, buried or taken to landfills. After barns are…

The U.S. House of Representatives voted overwhelmingly on July 24 to ban state laws that force food companies to place labels on products featuring genetically modified organisms (GMOs). Passage of the hotly contested bill, called The Safe and Accurate Food Labeling Act of 2015, is a victory for food and chemical manufacturers. The vote passed 275 to 150, with six of Minnesota's eight representatives voting against labeling requirements. Opponents of GMO labeling lost a court battle to stop state labeling laws before turning to congress.
The act would create a federal standard for the voluntary labeling of foods with GMO ingredients.
Vermont, Connecticut and Maine already passed mandatory labeling laws, but the bill's proponents have…

Our sixth annual Green Plant of the Year is now accepting votes for the 'greenest' food manufacturing plant in the United States. You can cast your vote below. The plant with the most votes wins, so share the love online and in social media.
The…

Living up to the hype will be difficult, but infrastructure construction is well under way for the Internet of Things.

As catch phrases go, the Internet of Things has a certain Buck Rogers ring to it. IoT already has trumped Big Data and network connectivity when it comes to capturing people’s imagination.
What's catapulting IoT above the level of hype are the…

A monthly round-up of food and beverage manufacturing equipment chosen by our editors.

Safety Gate Offers Workers Protection from Falls
The Mezzanine Clear Height Safety Gate is engineered to protect workers from falls on elevated mezzanine loading areas. In addition, it does not have load height restrictions so it can accommodate…

Trends in breakfast foods are more of the same: hand-held, portable, healthful choices. Yet in the rush of in a morning routine, nutrition is as important as convenience.

The best way to start the day is with a healthy breakfast. But these days, convenience is king in the early part of the day. We're rushing around in the morning more, so everything in a breakfast meal -- if you can call it that any more -- needs to…

As consumer concern for healthy eating escalates, so does the interest in natural and artisanal foods. Artisans can keep traditions alive by going beyond the mass-produced norm with the best ingredients and old-world methods to create foods with flair.

No question, artisan foods are popular. From the increase in small, niche names in specialty shops to big, iconic brands on supermarket shelves and the surge of food prep-at-home delivery businesses, artisan food companies seem to be thriving. All…

The school lunch program needs government renewal; should it get tougher or more lax nutritional standards?

One of the battles brewing in Washington these days is a debate over reauthorization of the National School Lunch Program. The current incarnation, the Healthy, Hunger-Free Kids Act (HHFKA), which will expire on Sept. 30, attempted to force…

Trends in breakfast foods are more of the same: hand-held, portable, healthful choices. Yet in the rush of in a morning routine, nutrition is as important as convenience.

The best way to start the day is with a healthy breakfast. But these days, convenience is king in the early part of the day. We're rushing around in the morning more, so everything in a breakfast meal -- if you can call it that any more -- needs to…

The U.S. House of Representatives voted overwhelmingly on July 24 to ban state laws that force food companies to place labels on products featuring genetically modified organisms (GMOs). Passage of the hotly contested bill, called The Safe and Accurate Food Labeling Act of 2015, is a victory for food and chemical manufacturers. The vote passed 275 to 150, with six of Minnesota's eight representatives voting against labeling requirements. Opponents of GMO labeling lost a court battle to stop state labeling laws before turning to congress.
The act would create a federal standard for the voluntary labeling of foods with GMO ingredients.
Vermont, Connecticut and Maine already passed mandatory labeling laws, but the bill's proponents have…

Mondelēz International, Inc., Deerfield, Ill., and D.E Master Blenders 1753 B.V. , Amsterdam, have completed their move to combine their respective coffee businesses, including Mondelēz International's coffee portfolio in France, to create Jacobs Douwe Egberts (JDE), which will become the world's leading pure-play coffee company with annual revenues of more than $5.5 billion.
Mondelez received a 44 percent interest in the new joint venture upon closing of the deal and approximately $4.2 billion. Acorn Holdings B.V., which owns D.E. Master Blenders 1753, will have a 56-ercent share in JDE.
Mondelez reports that the new company will be headquartered in the Netherlands and have market-leading positions in 18 countries globally, along with a…

The marketing textbook teaches us to follow the early buyers; but are they leaders or misleaders?

Does anyone besides me think the new product curve might be someone's imagination, at least as it pertains to food? I have mentioned this to brand managers in the past, but they all seem to think that their MBA marketing textbook is equivalent to the Bible or the Koran. It must be true because it says so in my textbook. Everett Rogers introduced the concept in 1962 and everyone followed suit.
Is it possible that this concept of innovators, early adopters, late adopters, etc., is really just nonsense? Is it possible that there is just a group of people who are first buyers and they bounce around from one category to another trying new things and giving the impression that the product will be a success. Could it be that no one really follows…

The U.S. House of Representatives voted overwhelmingly on July 24 to ban state laws that force food companies to place labels on products featuring genetically modified organisms (GMOs). Passage of the hotly contested bill, called The Safe and Accurate Food Labeling Act of 2015, is a victory for food and chemical manufacturers. The vote passed 275 to 150, with six of Minnesota's eight representatives voting against labeling requirements. Opponents of GMO labeling lost a court battle to stop state labeling laws before turning to congress.
The act would create a federal standard for the voluntary labeling of foods with GMO ingredients.
Vermont, Connecticut and Maine already passed mandatory labeling laws, but the bill's proponents have…

The U.S. House of Representatives voted overwhelmingly on July 24 to ban state laws that force food companies to place labels on products featuring genetically modified organisms (GMOs). Passage of the hotly contested bill, called The Safe and Accurate Food Labeling Act of 2015, is a victory for food and chemical manufacturers. The vote passed 275 to 150, with six of Minnesota's eight representatives voting against labeling requirements. Opponents of GMO labeling lost a court battle to stop state labeling laws before turning to congress.
The act would create a federal standard for the voluntary labeling of foods with GMO ingredients.
Vermont, Connecticut and Maine already passed mandatory labeling laws, but the bill's proponents have…

Unmanned aerial vehicles will be used to monitor suppliers, other forest land that needs to be protected.

Drones, very much in the news lately, are being employed in a new cold war – the war on deforestation and non-sustainable palm oil.
Cargill Inc., in an April update to its palm oil sustainability report, notes it is prepared to launch drone aircraft in Malaysia, the world's second-biggest grower of oil palms. "Our project with unmanned aerial vehicles (drones) is moving into the operational phase. A Cargill team is set to start flight training in Malaysia. They will soon graduate as certified UAV pilots.
"With the UAVs, we are pushing the envelope in sustainability," the report continues. "They will help us map and monitor valuable pieces of forest land that need to be protected, and improve land and water use, so that we can grow more…

As the trade landscape continues to evolve, food processing companies that import and export goods to and from Canada will encounter important changes. Developments in the mandatory country of origin labeling (COOL) and proposed revisions to Canada’s nutritional labeling regulations will likely change the way importers, exporters and customs brokers conduct business.
Country of origin labeling
While the dispute over COOL has been a long-running process, recent developments indicate that U.S. businesses could feel the effects of Canada’s retaliation against COOL as early as September, if the U.S. does not repeal it.
On June 10, the U.S. House of Representatives voted to repeal COOL requirements for beef, pork and chicken, urging the…

More work needs to be done to attract millennials to your food and your plants.

I think our cover nicely illustrates an issue all food and beverage companies already are dealing with that’s only going to get worse: the attraction of good, young talent in an age when pure technology is hotter. Maybe what it doesn’t show is the attendant problem that millennials – and that’s the age group we’re talking about – have probably the lowest perception of the food and beverage industry than any previous generation.
These problems are interconnected. As much, if not more, effort should be expended at solving the second issue as the first – if only because these millennials also are the next great demographic of consumers, and with each tick of the clock they are growing larger than the baby boomer generation.

The acquisition is expected to boost 2015 sales to more than $500 million.

Memphis-based Monogram Foods has completed the acquisition of Golden County Foods, a Plover, Wis., manufacturer of frozen appetizers that entered into Chapter 11 bankruptcy reorganization in May.
The bankruptcy court accepted Monogram’s bid of $37.2 million for Golden County’s assets, which include two facilities in Plover.
Founded in 1991 and owned by GCF Holdings II, the maker of cheese-based appetizers and snacks continued operating after its May 18 bankruptcy filing. Golden County had annual sales of about $100 million.
Monogram CEO Karl Schledwitz announced the hiring of 50 more workers in Plover, which would boost staffing to 600. Monogram employees 2,000 workers in five states. The acquisition is expected to boost 2015 sales to…

Sales of organic food and non-food products in the U.S. grew 11.3 percent in 2014 over the previous year, totaling $39.1 billion, according to the latest survey from the Organic Trade Assn. (OTA).
Despite the industry struggling with tight supplies of organic ingredients, organic food sales grew 11 percent in 2014, to $35.9 billion, while organic non-food sales, at $3.2 billion, jumped almost 14 percent for the biggest annual increase in six years.
The majority of American households in all regions of the country now make organic a part of their supermarket and retail purchases – from 68 to almost 80 percent of households in southern states, to nearly 90 percent on the West Coast and in New England, according to OTA.
OTA’s Organic…

Mars Chocolate North America says it will invest an additional $100-million in its Topeka, Kan., facility, breaking ground on a 90,000-sq.-ft. facility there.

Mars Chocolate North America disclosed on July 16 that it will invest an additional $100-million in its Topeka, Kan., facility, breaking ground on a state-of-the-art, 90,000-sq.-ft. facility there. As part of the expansion, Mars will create 70 new, full-time, permanent, high-wage manufacturing jobs.
The move comes just more than a year after the New Jersey-based company opened its $270-million plant south of the city. "For over a century, Mars has been committed to making our products in the markets where we sell them," states Tracey Massey, president of Mars Chocolate North America. "We are grateful for the warm welcome and continued support we have received from Topeka and the state of Kansas, and we are pleased to further invest in the…

Trends in breakfast foods are more of the same: hand-held, portable, healthful choices. Yet in the rush of in a morning routine, nutrition is as important as convenience.

The best way to start the day is with a healthy breakfast. But these days, convenience is king in the early part of the day. We're rushing around in the morning more, so everything in a breakfast meal -- if you can call it that any more -- needs to…

Our 44th annual R&D Survey indicates a year of regulatory challenges but less emphasis on cost control.

Sometimes we worry that we write too much about genetically engineered ingredients (GMOs) and regulatory issues, especially for you folks in product development. But the two subjects seem to be coming up a lot lately, with the latter concern…

General Mills plans to introduce a gluten-free version of Lucky Charms later this summer

With sales of gluten-free foods doubling in the past four years to more than $23 billion from $11.5 billion (according to Nielsen), General Mills, Minneapolis, wants in on the action to boost slumping cereal sales. It plans to produce a gluten-free version of Lucky Charms later this summer. The news about the "Magically Delicious" but gluten-free marshmallow-spiked cereal is only a part of the company's extensive $712-million capital investment in its food-manufacturing business, which also includes adding gluten-free versions to five of its Cheerios varieties some time this summer.
Last month, the company announced that it will remove artificial flavors and colors from the remaining 40 percent of its cereals that still contain…

Instead of a renaissance of two venerable firms, this will be a race to the bottom (line).

I was sad enough back in early 2013 when I heard about two investment firms taking Heinz Co. private. Now I’m distraught that Heinz is merging with Kraft. Or, as I recently said to a coworker: taking Kraft down with it.
Let’s face it: This merger is not about creating exciting new products, funding the R&D needed to get into novel growth categories or even about rejuvenating old but solid brands and products. It’s not about investing in and nurturing up-and-coming companies that have the Next Big Thing.
It’s about subtraction by addition: seeing how many plants can be shut down, how many people laid off and how many brands sold off to make the investors even richer than they are. And most of those investors are from Brazil, not…

This year's list of the top food and beverage companies has been altered mostly by domestic buying.

Whereas 2013 saw several U.S. firms undertake acquisitions across the globe – and one mega deal that made a U.S. firm owned by the Chinese – part of last year and the first half of 2014 seem to be playing out as a time of renewed interest in…

With 322 total mergers and acquisitions recorded in 2010, the food and beverage industry is seeing the highest M&A figure since 2008, and about even with the 2005 figure.

The year 2010 began and ended with blockbuster deals.
Kraft Foods Inc. engineered the two biggest mergers and acquisitions of 2010: acquiring Cadbury Plc (in a drama that played out through most of 2009), then helping to pay for that $19.4 billion purchase by selling its pizza business to Nestle SA for $3.7 billion. Both those sales closed in January of 2010.
February saw suddenly acquisitive Diamond Foods get chip maker Kettle Foods, and Sunsweet acquire Herbal Water, maker of Ayala’s Herbal Water.
Last summer, Snyder’s of Hanover Inc. merged with Lance Inc. Seneca Foods Corp. bought Unilink LLC and Lebanon Valley Cold Storage LP, both makers of frozen fruits and vegetables.
In the fall, Ralcorp Holdings bought American Italian Pasta…

The Food Processing Top 100 list of food and beverage manufacturers is now available in an interactive format.

Starting this year, the Food Processing Top 100 list of food and beverage manufacturers will be available as an interactive, fully-sortable grid on http://www.foodprocessing.com/top100.
All 100 company names, rankings, food sales and company sales will be sortable in ascending or descending order. The sorting function is controlled by clicking the up or down arrow as shown in the image below.
Another added benefit to the interactive list is the introduction of individual profiles for each of the top 100 companies. Each profile contains information such as address, websites, brands or products, executives and much more. You can access the individual company profiles by clicking on the company name in the grid.

The 2008 top 100 food and beverage processing companies in the U.S. and Canada are profiled in this annual feature. Find company contact information, major brands, key executives and main product areas.

The 2007 top 100 food and beverage processing companies in the U.S. and Canada are profiled in this annual feature. Find company contact information, major brands, key executives and main product areas.

Like some counter-culture version of the Manhattan Project, the organic movement progressed for decades pretty much unnoticed.

Some in the conventional food industry even laughed at organic. That is, until about 15 years ago when it appeared to explode onto the scene seemingly from nowhere.

The organic industry has gone nuclear, reaching a critical mass that took decades to produce and is now both enjoying, and suffering from, the results of its explosive growth.

According to the Nutrition Business Journal, organic food sales could continue growing by double digits - 14 percent or so, as it has been averaging - leading the industry to sales nearing $25 billion within a few years. Produce and dairy are still the largest segments of the total organics market. But inside this growth rate are the potential stars of the future - bakery, meats and poultry. If organic grains and feed can keep up with the pace, these segments could grow at a rate as high as 40 percent annually for the foreseeable future.

With such gung-ho growth, the (previously) strictly conventional food industry has moved in to play a major role on both the consumer products and food ingredients side. A few examples of big processors taking up the torch of organic include General Mills, Kraft Foods, Dean Foods, Archer Daniels Midland, ConAgra and Kerry Ingredients.

ORGANIC BY DEFINITION

With organic labeling laws still being worked out, not to mention subject to intense controversy, some companies are taking the reins and establishing clear criteria for their products.

General Mills describes organic foods as "food grown by farmers who use farming methods that strive for a balance with nature. Organic farmers focus on soil improvement and rely on biological systems to produce high quality food and reduce environmental impact." Their "organic" food label identifies food grown with practices that:

• DO improve the quality and fertility of the soil • DO protect water quality • DO reduce soil erosion • DO rely on natural biological systems for pest and weed control • DO reduce the impact of agriculture on our environment • DO produce high quality, great tasting food.

Meanwhile, Whole Foods Markets, the world's largest retailer of natural and organic foods with more than 155 stores, keeps racking up the sales. Suffice it to say the conventional foods industry is not laughing anymore.

Whole Foods Stores is in many ways the most public face of organic and natural foods merchandising. "Whole Foods, Whole People, Whole Planet" is their motto. It resonates with their consumer base, and is actively backed up in ways beyond what's on the shelf.

General Mills made the news last year with their commitment to whole grains in their cereals - a clear response to the health and wellness movement of consumer nutrition. Lesser known, however, is that General Mills is also a major player in the Natural/organic arena with their Small Planet Foods division. Consumers are moving in these directions and General Mills recognizes the market, current size and direction of growth.

The organic argument

By eating organic produce, you limit your exposure to synthetic insecticides, fungicides and herbicides because these chemicals are not applied to organic crops. By eating organic animal products, you limit your intake of growth hormones and antibiotics, because organic meat and dairy farmers are prohibited from using hormones and antibiotics in organic livestock and dairy production. You also limit your intake of genetically modified foods because organic farmers cannot raise genetically modified crops or livestock or use production aids that are genetically modified.

Until recently, "organic" was synonymous with "fringe." The idea that multinational, multibillion-dollar food corporations would feel inclined to pursue the higher costs and increased complications of creating organic products was unlikely, to say the least. But it's a different world, a different consumer today, and the big guys are responding to the strong consumer interest in organic.

Take Kraft Foods Inc., Northfield, Ill. The company continues to fulfill an important strategic role - that of remaining strong in its traditional markets within its traditional business model. At the same time, Kraft's natural, vegetarian and organic entries, Back to Nature and Boca Burger, play a key role in its strategy for the future. Those product lines move the company toward what it terms its "new business system" while at the same time addressing the "new consumer behavior."

Boca is Kraft's line of vegetarian meat analogs, which includes a sub-line of organic vegetarian and Vegan offerings. The full line of "made with organic soy" Boca Burgers include the following options: All American Classic Burger, Vegan, Garden Vegetable, Roasted Onion, Roasted Garlic and Cheeseburger.

"The consumer is at the core of all our new product innovations at Kraft," explains Brian Driscoll, Kraft's senior vice president of North American commercial sales. "Our goal is to delight consumers with all of our brands by introducing products that fit their lives today and staying one step ahead of their needs for tomorrow."

From Tang to organic Shells & Cheese Dinner, Kraft is making a concerted effort to be significantly present in every substantial facet of the food industry.